James Palmer

Capitalized retirement savings/social security is near universal, even in social democracies with stronger labor power than the US. The fact that we DON’T invest social security actually makes us an outlier.

But elsewhere the market investment is managed largely by funds or governments themselves. The obsessive tracking of markets by retirees is very much a US phenomenon.

yes I figured this was something academics must have thought through at length! but it hasn't made it to popular consciousness as a common idea yet I think.

401 Ks and housing policy changes are the foundation of neoliberalism in America.

It was a tax hack and not designed to be a durable plan for everyone. Crazy that we've formalized it instead of pensions.

I feel that government pensions would be one thing (isn't that the point of Social Security?) but the problem with pensions-by-company is that companies fail. A lot.

401Ks trick people into thinking they’re rentiers when they’re really workers. They’re also terrible because markets are so volatile. Better to take 5% of gdp (which barely varies) and simply give it to old people as cash.

They also are terible vehicles for getting the upside of markets because they are low liquidity.